Lexus Fuel Leak Took Almost 2 Years to Diagnose, Toyota Says

Toyota Motor Corp. took almost two years to submit its U.S. recall today of Lexus models after the automaker’s initial investigation of a potential gasoline leak failed to find defects in the cars’ fuel-line components. Photographer: Matthew Staver/Bloomberg

Jan. 26 (Bloomberg) -- Toyota Motor Corp. took almost two
years to submit its U.S. recall today of Lexus models after the
automaker’s initial investigation of a potential gasoline leak
failed to find defects in the cars’ fuel-line components.

The first U.S. report of fuel odor was in March 2009,
according to a letter Toyota sent today to the National Highway
Traffic Safety Administration. Toyota investigated the case and
two more reports in 2009, including one from the U.K., and “no
abnormality in parts was found,” said Brian Lyons, a spokesman
for the Japanese automaker’s U.S. unit in Torrance, California.

Toyota, the world’s largest automaker, voluntarily recalled
today about 245,000 Lexus IS and GS luxury cars in the U.S. to
inspect and tighten fuel-pressure sensors. Globally, the Toyota
City, Japan-based company, is recalling 1.7 million vehicles for
potential defects in fuel pipes and pumps, pressure sensors and
spare-tire carriers, including 1.28 million units in Japan.

Toyota studied the Lexus issue throughout 2010, and not
until reviewing manufacturing processes and an additional defect
report could it determine the likely cause was a section of pipe
that was tightened improperly, according to the letter. The time
needed to uncover the problem isn’t unusual, given how complex
vehicles have become, said Ed Kim, director of analysis for
industry researcher AutoPacific Inc. in Tustin, California.

“This is literally forensic analysis,” said Kim, who is a
former U.S. product planner for Hyundai Motor Co. “Cars contain
hundreds of thousands of pieces of machinery, and when there’s a
defect it can be pretty minute.”

Needle in Haystack

“In many cases it’s harder than finding a needle in a
haystack,” he said.

Toyota’s reputation for reliability has been damaged by
record recalls in the past 18 months, largely for problems
related to unintended acceleration. The company is under
pressure to be as forthcoming as possible with defects, Kim
said.

Toyota’s American depositary receipts, each representing
two ordinary shares, fell $1.57, or 1.9 percent, to $82.29 at
4:07 p.m. in New York Stock Exchange composite trading. They
have dropped 5.2 percent in the past year.